Bitcoin evangelists are at it again: Coinbase CEO Brian Armstrong joined the million-dollar Bitcoin prophecy club on Tuesday, suggesting the cryptocurrency could reach “several millions” in value in what he called “the dawn of a new day for crypto”.
“We’ve seen just incredible growth and I think it hit an all-time high yesterday, so we feel really good about that,” he said. CNBC This morning. “I think over time we will see Bitcoin enter the multi-million price range.”
If crypto hypester John McAfee were alive today, he would be proud.
When I predicted that Bitcoin would reach $500,000 by the end of 2020, it used a model that predicted $5,000 by the end of 2017. BTC accelerated much faster than my model’s assumptions. I now predict that Bircoin will be worth $1 million by the end of 2020. If I’m wrong, I’ll still eat my dick. pic.twitter.com/WVx3E71nyD
Unlike McAfee, Armstrong gave four credible reasons to support his prediction:
“If the United States followed this path, the rest of the G20 would probably follow,” Armstrong argued of a strategic reserve. “I think Bitcoin has a long way to go – it will be the new gold standard, but crypto is really much bigger than that too.”
Armstrong is not alone in this high-stakes game of predictions. MicroStrategy’s Michael Saylor, whose company holds 461,000 Bitcoins worth more than $49 billion, went even further. The tech entrepreneur predicted in September that Bitcoin could reach $13 million per coin in the next 21 years.
That’s an increase of over 12,000% from the current price of less than $107,000, in case anyone’s counting.
This bullish sentiment stems in part from recent political developments in the United States. Trump’s pro-crypto stance has energized the market. Saylor said: “Republicans have become progressive and Democrats are drifting towards the middle in terms of their view of crypto and Bitcoin. »
Of course, Coinbase and MicroStrategy are heavily invested in Bitcoin’s success. Coinbase, a cryptocurrency exchange, relies on trading activity for revenue, while MicroStrategy has bet its treasury on Bitcoin, holding more than 2% of the total cryptocurrency supply.
MicroStrategy’s stock price has exploded since the company began its Bitcoin buying spree in 2020, when the cryptocurrency was trading below $12,000. The company’s shares now serve as a proxy for Bitcoin exposure in traditional markets, even after spot Bitcoin ETFs were approved about a year ago.
So far, every stock is up significantly in January, with COIN up about 18% and MSTR up 34% as of this writing.
Image: Commercial view
Armstrong’s predictions, shared during a CNBC interview, comes at a bullish time among institutional investors. Currently, Bitcoin is going through a phase of “extreme greed” among investors, according to an index by Alternative.me.
That said, follow the markets but don’t bet on the words of market makers. Unlike McAfee’s 2017 prediction – who vowed to “eat my dick” if Bitcoin didn’t hit $1 million by 2020 – Armstrong carefully avoided setting a specific timetable, making his technically sound prediction no longer. anywhere between next Saturday and the heat death of the planet. universe.
“Over Time” is quite versatile when it comes to interpretations. Armstrong’s dick is probably safe anyway.
Edited by Andrew Hayward
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